Wealth firm's acquisition spree boosts profit by 50%

AFH Financial has boosted its pre-tax profits by 50% following a series of acquisitions.

In the six months to 30 April, the Bromsgrove-based firm reported a profit before tax figure of £540,000, up on the £350,000 for the corresponding period of the previous year.

Revenues also 50% to £7.3 million versus £4.8 million in the previous year.

During the period the firm acquired client books from three small IFA businesses including Michael Mac Wealth Management in December 2013, SR Wealth Management in January, Norwich-based Omega Consulting in May, and the acquisition of the Robert McGee business in November 2013.

That deal boosted AFH's results as it took on an adviser and the firms' client books.

The firm listed on the Alternative Investment Market (AIM) in June with a market capitalisation of £27 million.

It had for the float, including £1.46 million through placing and subscribing around one million new ordinary shares and through its chief executive Alan Hudson (pictured) who sold one million shares at the same time.

AFH Financial was listed on the ISDX Growth Market for three years prior to its move to AIM.

In the firm's financial statements, Hudson said the firm was now focused on organic development.

'Our outlook for this year is to continue with our steady growth through organic development and appropriate acquisitions to deliver further profitability.

'We are delighted to now be on AIM and look forward to updating shareholders with our progress.'

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